#CryptoCorner: BTC Rallies Following China’s Blockchain Endorsement, Bakkt to Launch Consumer App and Argentina Sees BTC Trading Spike After USD Purchases Restricted


#CryptoCorner: BTC Rallies Following China’s Blockchain Endorsement, Bakkt to Launch Consumer App and Argentina Sees BTC Trading Spike After USD Purchases Restricted




Point Roberts WA, Delta BC, October 28, 2019 -  Investorideas.com, a leader in crypto and blockchain investing news brings you today’s edition of the Crypto Corner podcast and commentary on what’s driving the cryptocurrency market .

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Stocks discussed: (SSE:600797) (SZSE:002657) (SZSE:002570) (HKEX:1357) (NasdaqGS:FB) (NYSE:ICE)

The crypto market exploded on Friday with a price surge in Bitcoin (BTC) from around $7,500 to a peak of just over $10,000, according to data from CoinMarketCap. This is the highest trading price Bitcoin has seen since September 22. The consensus seems to be that this rally was brought on by Chinese President Xi Jinping’s announcement of increased investment into blockchain technology.

Bloomberg reports that there was a surge in Chinese investor interest in blockchain stocks in the wake of this announcement, and the resulting rally. An excerpt reads:

The gains were widespread Monday, with Insigma Technology Co. (SSE:600797) and Sinodata Co. (SZSE:002657) among more than 60 tech shares surging by the daily limit in Shanghai and Shenzhen. The excitement coincided with a 26% rally in Bitcoin, and also boosted stocks with more tenuous connections to blockchain, like baby-food producer Beingmate Co. (SZSE:002570) and selfie-app developer Meitu Inc. (HKEX:1357)

Li Shiyu, fund manager at Guangdong Xiaoyu Investment Management Co., is quoted in the article:

“Most of these companies, especially those that are just beginning to state their connection with blockchain today, are trying to take advantage of the hype. It shows how much excitement can be triggered by something stressed as a priority by the top man himself.”

This pro-blockchain sentiment exhibited by the Chinese government was seemingly foreshadowed by Facebook (NasdaqGS:FB) CEO Mark Zuckerberg. An excerpt from a TechCrunch article covering Zuckerberg’s Congressional hearing last week reads:

“As soon as we put forward the white paper around the Libra project, China immediately announced a public private partnership, working with companies . . . to extend the work that they’ve already done with AliPay into a digital Renminbi as part of the Belt and Road Initiative that they have, and they’re planning on launching that in the next few months.” He later said that for Libra, “Chinese companies would be the primary competitors.”

Bakkt, the digital assets firm owned by Intercontinental Exchange (NYSE:ICE), plans to develop a consumer app and merchant portal, according to a blog post by Mike Blandina, the company’s Chief Product Officer. He wrote:

We’ll be launching a consumer app to make it easy for consumers to discover and unlock the value of digital assets, as well as ways in which they can transact or track them. Merchants gain access to a broader set of customers with expanded spending power.

Cointelegraph reports that Argentina’s central bank has reduced the monthly maximum amount of U.S. dollars people can by from $10,000 to $200 in an effort to stabilize the country’s Argentine peso (ARS). Perhaps resulting from this, the article indicates that for the week ending Oct. 26, accounts traded 14.15 million ARS ($240,000) in Bitcoin.

Sam Mowers, Investorideas

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